Jerome Powell quotes: Best of 2022

Running the Federal Reserve at a time of high economic volatility is no easy drive. Yet Chair Jerome Powell has a firm grip on the steering wheel.

Federal Reserve Chair Jerome Powell has been on the job as the nation's leading economic policymaker since February, 2018.

During that time Powell has served two U.S. presidents and has dealt with high-risk and high-profile issues like a global pandemic, rampant inflation, and a recessionary economy.

Wise to the ways of Washington, D.C., Powell has served as an assistant secretary of the U.S. Department of Treasury under President George W. Bush. He also knows the inner machinations of Wall Street, working as both a lawyer and investment banker in New York City.

2022 has been a volatile year for the Federal Reserve, as the Fed's Open Markets Committee has raised interest rates five times. Consider that the Fed hadn't hiked interest rates by more than a quarter point at a time since the year 2000, and you begin to understand the high stakes involved in leading the Federal Reserve in a period of economic peril.

With all eyes on the Federal Reserve, these are some of the biggest quotes from Powell in 2022.

The Biggest Quotes from Jerome Powell in 2022

On price stability. At an August 26 speech in Jackson Hole, Wy., Powell reinforced the importance of reining in inflation to stabilize the U.S. economy.

"The Federal Open Market Committee's (FOMC) overarching focus right now is to bring inflation back down to our 2% goal," he said. "Price stability is the responsibility of the Federal Reserve and serves as the bedrock of our economy. Without price stability, the economy does not work for anyone."

On the public's perception of economic policy. At the same event, Powell noted the impact public perception has on inflation.

"If the public expects that inflation will remain low and stable over time, then, absent major shocks, it likely will," he said. "Unfortunately, the same is true of expectations of high and volatile inflation."

On the Fed's uphill battle against inflation. Powell acknowledges the tough task the Fed faces against high inflation, noting in a November speech at the Brookings Institute that gaining even an inch on inflation isn't easy.

"Despite the tighter policy and slower growth over the past year, we have not seen clear progress on slowing inflation," he said. "Despite some promising developments, we have a long way to go in restoring price stability."

On hopes and plans. Speaking just after the Federal Reserve boosted its benchmark Fed Funds rate by three-quarters of a point in September, Powell noted the grim realities of forming economic public policy.

"I think that shelter inflation is going to remain high for some time. We're looking for it to come down, but it's not exactly clear when that will happen. It may take some time. Hope for the best, plan for the worst," Powell said.

On rebalancing the U.S. housing market. Acknowledging that mortgage rates had skyrocketed in 2022, Powell called for a reckoning on the nation's housing market

"Housing is significantly affected by higher rates, which are really back where they were before the global financial crisis," Powell said at a September news conference.

"The housing market was very overheated for a couple of years after the pandemic, as demand increased and rates were low. The market needs to get back into a balance between supply and demand."

On his management and decision-making style. Powell wants to hear all sides of an argument before making a tough call.

"My own experience is that the best outcomes are reached when opposing viewpoints are clearly and strongly presented before decisions are made," he said.

On U.S workers and labor problems. In assigning blame to inflation, Powell didn't cite high government spending or the ongoing war in Ukraine. Instead, he pointed to the public and their paychecks.

"Employers are having difficulties filling job openings, and wages are rising at the fastest pace in many years," Powell said at a May press conference. "The solution is to bring wages down."

On cryptocurrencies. Testifying before the House Financial Services Committee on the state of the economy in March, 2022, Powell touched on the sensitive issue of cryptocurrencies.

"[The Ukraine-Russia conflict] underscored the need for Congressional action on digital finance including cryptocurrencies. ...We have this burgeoning industry which has many parts to it, and there isn't in place the kind of regulatory framework that needs to be there."

"There isn't in place the kind of regulatory framework that needs to be there," he added.

"What's needed is a framework, in particular ways to prevent these unbacked cryptocurrencies from serving as a vehicle for terrorist financing and just general criminal behavior, tax avoidance and the like."